UPDATE Moody’s Investor Service has affirmed Westport’s triple-A rating, First Selectman Gordon F. Joseloff announced today.
The rating service assigned its highest Aaa rating to the town’s $12.5 million General Obligation Bonds, Issue of 2009. It also affirmed the Aaa rating on the town’s parity debt, Joseloff said.
Proceeds from the bond sale will finance various school, sewer and municipal improvements. The bonds, maturing from 2010 to 2029, sold at an average interest rate of 3.56 percent. PNC Capital Markets won the bidding for the offering.
“We are very pleased with the rating review,” Joseloff said. “Despite these difficult economic times, it shows that Westport’s finances are in good shape.”
“The highest quality long-term rating reflects the town’s sizable tax base, high wealth indices and modest debt levels,” Moody’s said.
“The Aaa rating also incorporates the town’s well managed financial operations marked by satisfactory levels of reserves, a well funded pension system, and proactive funding of the town’s post retirement benefits liability.”
The rating service added: “Moody’s anticipates ongoing revenue weakness to pressure the town’s financial operations over the near term.
“However, the town is relatively well positioned heading into a period of potentially prolonged budget pressures given its relatively healthy level of financial flexibility, satisfactory reserve levels, and proactive management.”
